The nonprofit world carries just as much risk as a traditional business operation, but there are increased exposures given the type of operations and the people working for the organization. The process of identifying potential risk factors and taking proactive steps to mitigate them is called volunteer risk management, and creating this strategy is crucial to keeping your nonprofit operational.
The Damage of Negative Publicity
In today’s digital world, one negative experience can do a lot of damage. Though you may be worried about what your clients or serviced individuals have to say, you also need to be aware of how an unhappy volunteer can damage your company. Negative messaging can spread across the internet and social media channels like wildfire, causing reputational damage that is hard to undo. Volunteer risk management allows you to increase the probability of positive experiences and media attention.
The Importance of a Management Process
In addition to preserving your organization’s reputation, the following reasons are why a management strategy is important.
- Risks affect each department and area of your organization
- Management strategies create better experiences for partners, volunteers, and participants
- Risk reduction strategies strengthen the mission of the organization
You can often work with your insurance provider to come up with a risk management plan. They can help identify exposures while underwriting risk management plans and coverage policies.